Ugandan President Yoweri Museveni (left) together with President Uhuru
Kenyatta after they addressed press conference at State house in Mombasa
on issues related to trade between the two countries in this picture
taken on 27 March 2019. PHOTO | LABAN WALLOGA | NMG
The meeting of minds between
Kenya and Uganda on the Standard Gauge Railway (SGR) marks a
milestone in realising the full potential of the railway artery. From the onset, it was clearly underlined that the mega infrastructure project would only be viable if it serves the whole region. And for that to happen, the SGR, whose second phase from Nairobi to Naivasha is almost complete, has to extend to Kampala.
milestone in realising the full potential of the railway artery. From the onset, it was clearly underlined that the mega infrastructure project would only be viable if it serves the whole region. And for that to happen, the SGR, whose second phase from Nairobi to Naivasha is almost complete, has to extend to Kampala.
There have been claims that
Uganda may not be entirely enthusiastic about the SGR and was even said
to be working to revamp its old metre gauge line. It is due to this
apparent development of cold feet by Kampala that China is said to have
hesitated to release the Sh380 billion loan for the Naivasha- Kisumu
phase of the project. It is, however, worth noting that Uganda remains
the biggest destination of goods in transit from the Port of Mombasa as
well as a channel for exports from further inland in Congo and Rwanda.
As such, the SGR would certainly bring substantial benefits to the East African Community.
It is, therefore, a huge relief that one of the key talking
points between President Uhuru Kenyatta and his Ugandan counterpart,
Yoweri Museveni, was the SGR. Kenya and indeed the whole region hope
that all the uncertainties that have clouded execution of the project
will now be comprehensively addressed so that the plan proceed as was
originally conceived.
Immense potential
The
project has faced a series of hurdles that have threatened to
overshadow its immense potential to be a regional economic game-changer.
The dust raised by accusations of corruption and overpayment for land
compensation is yet to be fully addressed. There is also the lingering
question that the costs were inflated and that had prudence prevailed,
it would have cost far less.
Importers have also raised
concerns that, besides spawning a new set of logistical challenges,
using the SGR to ferry cargo from the port is more expensive than road
transport. All these are valid concerns that need to be addressed.
Similarly, the allegations of corruption and inflated costs should be
taken seriously by the relevant authorities not least the Ethics and
Anti-Corruption Commission (EACC).
Kenya ought to also
bring the tough lessons it has learnt on the implementation of the first
and second phases of the project to bear as it negotiates for loan and
other needs with China for the third phase.
Once all
these issues are resolved and the SGR goes all the way to Uganda and
eventually Rwanda, regional economies will reap significant rewards. The
leaders, therefore, have to look past the current challenges and take
into account the long term view of the project.
No comments:
Post a Comment